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Unit 17.  What is motivation?  Why is it important to a business?  What happens in the business if motivation is good?  What can happen in a business.

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Presentation on theme: "Unit 17.  What is motivation?  Why is it important to a business?  What happens in the business if motivation is good?  What can happen in a business."— Presentation transcript:

1 Unit 17

2  What is motivation?  Why is it important to a business?  What happens in the business if motivation is good?  What can happen in a business if  motivation is low?  List as many things that can motivate employees you can think of.

3 "You miss 100% of the shots you don't take.“ You loose 100% of the chances that you don’t take. You are not your CV, you are your work and your effort. There are no secrets to success. It is the result of preparation, hard work, and learning from failure. There is only one boss. The customer. And he can fire everybody in the company from the chairman on down, simply by spending his money somewhere else.

4  We talked about motivation in business and the benefits of a motivated workforce and the drawbacks of a workforce that is not motivated.  We also looked at Maslows’ Hierarchy of needs.  Using your notes, answer the following questions.

5 1. Motivation refers to the extent to which an individual gives their best all the time when working for a business. 2. A motivated workforce is likely to be more committed to the business and want it to do well. 3. Produce better, higher quality work, interested in what they are doing, take pride in what they do more flexible, prepared to do more for the business in terms of different tasks, and willing to learn...All increasing the output of the business, customer satisfaction and repeat purchase. 4. De-motivated workers will not be fully committed to the business and may not carry out their job as well as they could, may take more time on breaks, talk more when working or not concentrate on tasks, leading to less or lower production....leading to less customer loyalty and less repeat purchase... 5. This could be financial as well as non financial, higher pay, bonus, fringe benefits, working environment, staff activities etc

6  To understand motivation and remuneration systems.  To apply the knowledge to an exam style question.

7  All of you will:- ◦ Identify ways in which good working relationships can be created in a business.  Most of you will:- ◦ Apply knowledge of how to create good working relationships in a business.  Some of you will:- ◦ Make reasoned judgements and appropriate conclusions about how good relationships can be developed in a business.

8  Complete the notes......  There are different ways of paying employees, a business may use a mixture of these methods, depending on how many employees it has.  Time based systems  Salary based systems  Results bases systems  Temporary and freelance systems  Other forms of payment.

9  Manual workers or blue collar workers who tend to do manual work.  Manual workers tend to be paid wages on a time based system, they are paid so much per hour worked.  If they work longer than their agreed hours they gat paid overtime, this is normally paid at a higher rate. 1.25 or 1.5 times their basic rate  The pay is shown as Gross Pay + Overtime

10  Non-manual or white collar workers are normally paid a salary.  Salaries tend to be paid monthly rather than weekly.  Salaried workers are paid for doing a particular job.  Overtime is not usually paid to salaried workers, they are expected to work as long as it takes to do their job.

11  Some workers are paid according to how much they produce.  Workers on a piece rate system get paid for the number of items that they produce, the more they produce the more they get paid.  Sales staff may be paid a commission for every sale that they achieve, some solely on commission, so no sales = no pay.  Others may be paid a bonus, given as a reward for doing well or achieving specific targets.  There may also be ‘group’ bonuses paid to departments.

12  Some workers are part-time and not full- time.  This means that they are not employed for the full working week, as a result they will get paid a percentage of the full time wage, depending on the hours they work.  Temporary workers are workers employed on a temporary basis, for example at Christmas or to cover emergencies  # continued

13  Freelance workers, consultants, (usually self employed) are workers paid by a business to perform a certain and specific task.  IT consultants and a lot of workers in the building industry are freelance – Building firms like to employ them as it keeps the costs down.  If there is no work then the freelance worker is not needed, so don’t need to be paid.

14 Workers can be paid in other ways then money:-  Fringe Benefits are ‘payment in kind’, over and above their salary.  They may include a subsidised pension scheme, free or subsidised healthcare, a company car, retail businesses also give their employees discount – eg ASDA  Fringe benefits are often paid to avoid paying more tax and used to motivate workers.

15  Answer the exam question using your notes to help you.  First 10 minutes plan the answer  Next 20 minutes write the answer in full – remember that you are marked on spelling, punctuation, grammar and use of the correct terminology.

16 Pam Harris owns a chain of 5 high quality ladies clothes shops. The business operated as a private limited company. Pam started the business with one shop in 1980 using the name Quality Matters. The shops are in high street locations in major towns in the South East of England. ‘There are different ways of motivating staff and creating a good working relationship between employers and employees’. These include:-  Training, opportunity to learn and flexibility to perform other tasks  Communication, including meetings  Good and safe working environment  Reward schemes and any other factor relevant to motivation (fringe benefits)  Organisational structure and sharing Aims and Objectives for the business Which of these factors do you think is the most successful in motivating the employees of a business? Give reasons for your answer, explaining why you think the other factors could be less successful. (10 Marks)  Planning the answer.  1. What is each of the above ways of motivating employees?  2. How would they benefit the motivation in the business?  3. Rate them in why you think they are the most important  4. Write your answer.

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18  Marking your answer using the mark criteria  See next slide for a model answer

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